FULL LIST: 27 Nigerian States Fail to Attract Foreign Investments in 9 Months as Capital Inflows Decline by 34%

In a notable economic downturn, foreign investors have shown reluctance towards 27 Nigerian states, resulting in a significant 34% drop in capital importation, totaling $2.82 billion in the first nine months of 2023, according to the National Bureau of Statistics (NBS).

The NBS’s latest capital importation report for Q3 2023, released on Friday, reveals a decline from $4.27 billion in the same period the previous year. Capital importation plays a crucial role in fueling investments, trade, and manufacturing within a country.

Nigeria’s capital imports for Q1-Q3 2023 amounted to $2.82 billion, with Q1 seeing $1.13 billion, Q2 at $1.03 billion, and Q3 at $654.65 million. Notably, 27 states failed to attract foreign investments, with Abia being the only exception, experiencing a remarkable turnaround with $150.09 million in Q3.

The states that struggled to draw foreign investments include Bauchi, Bayelsa, Benue, Borno, Cross River, Delta, Ebonyi, Edo, Enugu, Gombe, Imo, Jigawa, Kaduna, Kano, Katsina, Kebbi, Kogi, Kwara, Nasarawa, Osun, Oyo, Plateau, Rivers, Sokoto, Taraba, Yobe, and Zamfara.

Positive Standout: Lagos Thrives Amidst Downturn

In contrast, Lagos emerged as the shining beacon, securing its position as the top investment destination. The commercial hub attracted $1.79 billion, constituting 64% of the total capital inflow into Nigeria. Governor Babajide Sanwo-Olu emphasized Lagos’s attractiveness for investments in various sectors such as financial technology, education technology, health technology, business process outsourcing (BPO), talent training, placement, and physical infrastructure.

The Federal Capital Territory (FCT) secured the second position with $799.21 million, representing 28% of the total capital inflow. Other states making strides in foreign investments during the first nine months include Abia ($150.09 million), Akwa Ibom ($39.13 million), Ogun ($27.09 million), Adamawa ($4.5 million), Anambra ($4 million), Niger ($1.50 million), Ekiti ($38,250).

As Nigeria navigates the challenges of attracting foreign investments, Lagos stands out as a resilient economic powerhouse, fostering optimism for sustained growth in the face of adversity.